Deck 16: Forecasting Techniques and Analysis for Time Series Data

Question 1

_______ data has the benefit of a true zero point.

A)Interval
B)Nominal
C)Ratio
D)Ordinal

Answer 1

Ratio

Question 2

The test statistic for the Kruskal- Wallis test follows _______ the probability distribution.

A)binomial
B)chi- square
C)normal
D)Student's t

Answer 2

chi- square

Question 3

The birth year of a person would be considered _________ data.

A)ratio
B)nominal
C)ordinal
D)interval

Answer 3

interval

Question 4

Because each observation from a sample for the sign test must be assigned a plus or minus sign, this sampling distribution can be said to follow the _______ probability distribution.

A)Poisson
B)binomial
C)Student's t
D)exponential

Question 5

_______ data has all the properties of ordinal data with the added feature that allows us to measure the differences between the categories with actual numbers in a meaningful way.

A)Interval
B)Nominal
C)Ordinal
D)Ratio

Question 6

The number of home runs hit by the best hitter on the baseball team is an example of ______ data.

A)ratio
B)interval
C)ordinal
D)nominal

Question 7

__________ statistics describe procedures that assume that the population from which the sample is drawn follows a known probability distribution.

A)Quantitative
B)Nonparametric
C)Descriptive
D)Parametric

Question 8

The Wilcoxon signed- rank test is a nonparametric procedure that can be used to compare two independent samples.

Question 9

The batting order of baseball players for a game would be an example of data.

A)ratio
B)nominal
C)interval
D)ordinal

Question 10

The test statistic for the two- tail sign test is the larger number of the plus signs versus the minus signs.

Question 11

The test statistic for the one- tail Wilcoxon signed- rank test is the _______.

A)larger of the sum of the negative signed ranks (R- )and the sum of the positive signed ranks (R+).
B)smaller of the sum of the negative signed ranks (R- )and the sum of the positive signed ranks (R+).
C)sum of the positive signed ranks (R+)
D)sum of the negative signed ranks (R- )

Question 12

The test statistic for the two- tail Wilcoxon signed- rank test is the ______.

A)smaller of the sum of the negative signed ranks (R- )and the sum of the positive signed ranks (R+).
B)sum of the negative signed ranks (R- )
C)sum of the positive signed ranks (R+)
D)larger of the sum of the negative signed ranks (R- )and the sum of the positive signed ranks (R+).

Question 13

The ________ test determines if there is difference in the medians of three or more populations.

A)Kruskal- Wallis
B)Wilcoxon signed- rank
C)sign
D)Wilcoxon rank- sum

Question 14

The test statistic for the large sample case of the Wilcoxon rank- sum test can be approximated by the ________ probability distribution.

A)chi- square
B)Student's t
C)normal
D)binomial

Question 15

A property of ________ data is that the differences between categories are not meaningful and, therefore, cannot be measured.

A)interval
B)ordinal
C)ratio
D)cross- sectional

Question 16

________ data is strictly qualitative data assigned to predetermined categories or labels.

A)Nominal
B)Interval
C)Ordinal
D)Ratio

Question 17

The _______ test determines whether two populations have the same probability distribution based on evidence from two independent samples.

A)sign
B)Kruskal- Wallis
C)Wilcoxon signed- rank
D)Wilcoxon rank- sum

Question 18

The number on baseball players' uniforms would be an example of _______ data.

A)nominal
B)ordinal
C)ratio
D)interval

Question 19

The ______ test is a nonparametric procedure that can be used to compare two dependent samples.

A)Wilcoxon signed- rank
B)sign
C)Kruskal- Wallis
D)Wilcoxon rank- sum

Question 20

______ statistics can be used for data that is at the nominal or ordinal level of measurement.

A)Nonparametric
B)Parametric
C)Descriptive
D)Quantitative

Question 21

If the null hypothesis for the sign test is false, 50% of the population will fall below the median and 50% will fall above the median.

Question 22

If the null hypothesis for the Wilcoxon rank- sum test is not true, the distributions for the two populations are different from one another which should result in the rank- sum of one sample being relatively smaller than the other.

Question 23

If the test statistic for the Wilcoxon rank- sum test is between the upper and lower critical values, the null hypothesis is rejected.

Question 24

The Wilcoxon rank- sum test requires that the populations from which the samples are drawn follow the normal probability distribution.

Question 25

If the test statistic for the Wilcoxon signed- rank test is greater than the critical value for the Wilcoxon signed- rank test, the null hypothesis is rejected.

Question 26

The test statistic for the two- tail Wilcoxon signed- rank test is the larger of the sum of the negative signed ranks (R- )and the sum of the positive signed ranks (R+).

Question 27

The test statistic for the Kruskal- Wallis test follows the Student's t- distribution with k - 1 degrees of freedom.

Question 28

The sample size for the sign test is the total number of plus signs and minus signs.

Question 29

Parametric statistics describe procedures that assume that the population from which the sample is drawn follows a known probability distribution.

Question 30

With a sample size of n > 20, the sampling distribution for the sign test, assuming the null hypothesis is true, follows the student's t- distribution.

Question 31

The test statistic for the Wilcoxon rank- sum test equals the sum of the ranks for the sample with the larger sample size. If the sample sizes are equal, either sample can be used to calculate the test statistic.

Question 32

Parametric statistics can be used to perform a hypothesis test to estimate the population median.

Question 33

Nonparametric statistics can be used for data that is at the nominal or ordinal level of measurement.

Question 34

The Kruskal- Wallis test is a nonparametric procedure that allows us to determine if a difference exists among the medians of three or more populations.

Question 35

Interval data deals strictly with qualitative data assigned to predetermined categories.

Question 36

If there were no difference in the population medians for the Kruskal- Wallis test, we would expect the average ranks of all of the samples to be fairly close to one another.

Question 37

The power of a hypothesis test is the probability of correctly rejecting the null hypothesis.

Question 38

The ratio data has all of the properties of interval data with the added feature of having a true zero point.

Question 39

The Kruskal- Wallis test does not rely on any assumptions about the probability distributions but does require equal variances among the populations.

Question 40

If the Spearman rank- order correlation coefficient is greater than the critical value for the correlation coefficient when performing a one- tail test of significance, the null hypothesis is rejected.

Question 41

The number on baseball players' uniforms is an example of nominal data.

Question 42

The null hypothesis for the Kruskal- Wallis test always states that there is no difference among the means of the populations being tested.

Question 43

The test statistic for the one- tail sign test, S, is the number of plus signs regardless of the type of alternative hypothesis.

Question 44

The sign test is a nonparametric procedure that assigns a plus sign or a minus sign to each observation in a sample.

Question 45

The sign test can be used to determine if consumers prefer one product or service over another.

Question 46

Parametric statistics require the level of data measurement to be ordinal or interval.

Question 47

Parametric statistics are procedures that rely on fewer assumptions about the probability distribution for a population of interest than nonparametric statistics do.

Question 48

Ordinal data has all of the properties of interval data with the added feature that allows us to measure the differences between the categories with actual numbers in a meaningful way.

Question 49

Nominal data has all the properties of interval data with the added benefit of having a true zero point.

Question 50

If the test statistic for the Kruskal- Wallis test is greater than the critical value for the Kruskal- Wallis test, the null hypothesis is rejected.

Question 51

The Wilcoxon rank- sum test is a nonparametric procedure that determines whether two populations have the same probability distribution based on evidence from two independent samples.

Question 52

The sign test can be used to perform a hypothesis test for a population mean.

Question 53

The Spearman rank- order correlation coefficient is a nonparametric procedure measures the strength and direction of the relationship between two variables.

Question 54

Because each observation from a sample for the sign test must be assigned a plus or minus sign, this sampling distribution can be said to follow the binomial probability distribution.

Question 55

Interval data has all of the properties of ordinal data with the added feature that allows us to measure the differences between the categories with actual numbers in a meaningful way.

Question 56

All else being equal (the same sample size, same level of significance, and so on), the parametric procedure will result in a higher probability of your correctly rejecting the null hypothesis.

Question 57

The smaller the test statistic for the Wilcoxon signed- rank test, the more likely that we will be able to reject the null hypothesis.

Question 58

The Wilcoxon rank- sum test requires the data be at least at the ordinal level of measurement and that the shapes of the distributions for the two populations are similar.

Question 59

The large sample case of the Wilcoxon rank- sum test (n1 > 10 and n2 > 10), the test statistic can be approximated by the binomial probability distribution.

Question 60

The Spearman rank- order correlation coefficient requires the data be at the nominal level of measurement.

Question 61

The expected value of sample information, in thousands of dollars is _______.

A)$25.6
B)$22.5
C)$10.0
D)$18.0

Question 62

The probability that the market survey will predict a weak demand is _______ .

A)0.4082
B)0.4275
C)0.3325
D)0.3660

Question 63

The expected value without sample information, in thousands of dollars is _______.

A)$4,000
B)$4,600
C)$3,700
D)$5,300

Question 64

The expected monetary value, in thousands of dollars, for a small production quantity if Hats- R- Us conducts a market survey and the survey results are negative is __________.

A)$72.2
B)$63.8
C)$58.0
D)$31.5

Question 65

_______ are the future conditions that will occur regardless of any decisions made in the field of decision analysis.

A)Alternatives
B)Outcomes
C)Payoffs
D)States of nature

Question 66

Jeff sells the New York Times Sunday newspaper at a city corner near several churches. He sells each newspaper for $6.50 after purchasing them for $4.00. Any unsold newspaper can be returned to the New York Times for a $0.75 credit. Jeff expects demand on Sunday to be 75, 100, 125, or 150 newspapers and would like to order one of these four quantities from the New York Times. If the Jeff uses the Hurwicz criterion with a = 0.7, how many newspapers will he order?

A)150
B)100
C)75
D)125

Question 67

Given the survey will predict a strong market, the probability that demand for the new product will be weak is __________.

A)0.60
B)0.50
C)0.30
D)0.40

Question 68

The produce manager for a grocery store needs to decide how many heads of lettuce to order each day. A head of lettuce sells for $1.20 and costs the grocery store $0.75. Any unsold lettuce at the end of the day is donated to charity. If the manager purchases 100 heads of lettuce for tomorrow and demand for lettuce that day is 250 heads, the profit will be ___________

A)- $68
B)$45
C)$0
D)$113

Question 69

The __________ is the average of the payoffs associated with a particular alternative weighted with the probabilities for each state of nature.

A)expected value of perfect information (EVPI)
B)expected monetary value (EMV)
C)expected value under risk (EVUR)
D)expected value under certainty (EVUC)

Question 70

Hamburgers are on the menu tomorrow at a school cafeteria and the manager needs to decide how many to have ready for the lunch hour. Each hamburger costs the school $1.85 and is sold for $3.50. Leftover hamburgers have no monetary value. The manager expects demand tomorrow to be 100, 150, 200, or 250 hamburgers and would like to prepare one of these four quantities for lunchtime. If the manager prepares 200 hamburgers and the lunchtime demand is for 100 hamburgers, tomorrow's profit will be ________.

A)$247.50
B)- $20.00
C)- $125.50
D)$165.00

Question 71

The __________ provides us with an upper limit for how much we should pay for additional information to improve our decision.

A)expected value of perfect information (EVPI)
B)expected value under risk (EVUR)
C)expected value under certainty (EVUC)
D)expected monetary value (EMV)

Question 72

If the company decides not to conduct the survey, the expected monetary value of building a small facility is __________.

A)- $700
B)$4,600
C)$3,600
D)$4,000

Question 73

Hamburgers are on the menu tomorrow at a school cafeteria and the manager needs to decide how many to have ready for the lunch hour. Each hamburger costs the school $1.85 and is sold for $3.50. Leftover hamburgers have no monetary value. The manager expects demand tomorrow to be 100, 150, 200, or 250 hamburgers and would like to prepare one of these four quantities for lunchtime. If the manager uses the minimax regret criterion, how many hamburgers will be prepared?

A)250
B)200
C)100
D)150

Question 74

The probability that the survey result will predict a strong market is __________ .

A)0.30
B)0.60
C)0.40
D)0.50

Question 75

Hamburgers are on the menu tomorrow at a school cafeteria and the manager needs to decide how many to have ready for the lunch hour. Each hamburger costs the school $1.85 and is sold for $3.50. Leftover hamburgers have no monetary value. The manager expects demand tomorrow to be 100, 150, 200, or 250 hamburgers and would like to prepare one of these four quantities for lunchtime. If the manager uses the maximax criterion, how many hamburgers will be prepared?

A)250
B)200
C)150
D)100

Question 76

The expected value with sample information, in thousands of dollars is _______ .

A)$258.0
B)$212.3
C)$240.0
D)$261.5

Question 77

The ______ criterion is described as the least pessimistic method and the one with the lowest level of risk.

A)equally likely
B)maximin
C)maximax
D)minimax regret

Question 78

Given that the survey predicts a strong demand, the probability that the eventual demand is weak is ______.

A)0.054
B)0.156
C)0.092
D)0.180

Question 79

Given that the survey predicts a weak demand, the probability that the eventual demand is weak is _______.

A)0.584
B)0.746
C)0.696
D)0.616

Question 80

The ______ is the expected monetary value that corresponds to the best alternative when making a decision under risk.

A)expected monetary value (EMV)
B)expected value under risk (EVUR)
C)expected value of perfect information (EVPI)
D)expected value under certainty (EVUC)